Recently Global AgInvesting has featured articles discussing heat and drought adversely affecting the cattle industries in the U.S. and Australia. It seems that global beef prices will be pushed higher from another direction as well as cattle prices in Brazil, the world’s top exporter of beef, have increased 17% from a year ago to set a new record of US$48 per arroba (32 pounds) as the country recorded its hottest January on record and the least amount of rain in 60 years. The majority of cattle in Brazil are grass-fed and heat and drought are burning up pastures in Mato Grosso do Sul, Goias, Sao Pablo, and Minas Gerais which together supply approximately half of the cattle bought by meatpackers in the country such as JBS SA and Minerva SA
To receive relevant news stories with summaries provided by GAI Research & Insight, subscribe to Global AgDevelopments, our free bi-weekly enhanced eNews service